SLOVAK REPUBLIC COUNTRY PROFILE UNITED NATIONS

SLOVAK REPUBLIC COUNTRY PROFILE UNITED NATIONS

INTRODUCTION - 2002 COUNTRY PROFILES SERIES Agenda 21, adopted at the United Nations Conference on Environment and Development (UNCED) in Rio de Janeiro in 1992, underscored the important role that States play in the implementation of the Agenda at the national level. It recommended that States consider preparing national reports and communicating the information therein to the Commission on Sustainable Development (CSD) including, activities they undertake to implement Agenda 21, the obstacles and challenges they confront, and other environment and development issues they find relevant. As a result, in 1993 governments began preparing national reports for submission to the CSD. After two years of following this practice, the CSD decided that a summarized version of national reports submitted thus far would be useful. Subsequently, the CSD Secretariat published the first Country Profiles series in 1997 on the occasion of the five-year review of the Earth Summit (Rio + 5). The series summarized, on a country-by-country basis, all the national reports submitted between 1994 and 1996. Each Profile covered the status of all Agenda 21 chapters. The purpose of Country Profiles is to: Help countries monitor their own progress; Share experiences and information with others; and, Serve as institutional memory to track and record national actions undertaken to implement Agenda 21. A second series of Country Profiles is being published on the occasion of the World Summit on Sustainable Development being held in Johannesburg from August 26 to September 4, 2002. Each profile covers all 40 chapters of Agenda 21, as well as those issues that have been separately addressed by the CSD since 1997, including trade, energy, transport, sustainable tourism and industry. The 2002 Country Profiles series provides the most comprehensive overview to date of the status of implementation of Agenda 21 at the national level. Each Country Profile is based on information updated from that contained in the national reports submitted annually by governments. Preparing national reports is often a challenging exercise. It can also be a productive and rewarding one in terms of taking stock of what has been achieved and by increasing communication, coordination and cooperation among a range of national agencies, institutions and groups. Hopefully, the information contained in this series of Country Profiles will serve as a useful tool for learning from the experience and knowledge gained by each country in its pursuit of sustainable development.

NOTE TO READERS The 2002 Country Profiles Series provides information on the implementation of Agenda 21 on a country-bycountry and chapter-by-chapter basis (with the exception of. chapters 1 and 23, which are preambles). Since Rio 1992, the Commission on Sustainable Development has specifically addressed other topics not included as separate chapters in Agenda 21. These issues of trade, industry, energy, transport and sustainable tourism are, therefore, treated as distinct sections in the Country Profiles. In instances where several Agenda 21 chapters are closely related, for example, chapters 20 to 22 which cover environmentally sound management of hazardous, solid and radioactive wastes, and chapters 24 to 32 which refer to strengthening of major groups, the information appears under a single heading in the Country Profile Series. Lastly, chapters 16 and 34, which deal with environmentally sound management of biotechnology, and transfer of environmentally sound technology, cooperation, capacitybuilding respectively, are presented together under one heading in those Country Profiles where information is relatively scarce.

CP2002 SLOVAKIA TABLE OF CONTENTS CHAPTER 2: INTERNATIONAL COOPERATION TO ACCELERATE SUSTAINABLE DEVELOPMENT IN DEVELOPING COUNTRIES AND RELATED DOMESTIC POLICIES 1 CHAPTER 2: INTERNATIONAL COOPERATION TO ACCELERATE SUSTAINABLE DEVELOPMENT IN DEVELOPING COUNTRIES AND RELATED DOMESTIC POLICIES - TRADE 4 CHAPTER 3: COMBATING POVERTY...6 CHAPTER 4: CHANGING COMSUMPTION PATTERNS.8 CHAPTER 4: CHANGING CONSUMPTION PATTERNS - ENERGY.10 CHAPTER 4: CHANGING CONSUMPTION PATTERNS - TRANSPORT.. 12 CHAPTER 5: DEMOGRAPHIC DYNAMICS AND SUSTAINABILITY.15 CHAPTER 6: PROTECTING AND PROMOTING HUMAN HEALTH 16 CHAPTER 7: PROMOTING SUSTAINABLE HUMAN SETTLEMENT DEVELOPMENT..18 CHAPTER 8: INTEGRATING ENVIRONMENT AND DEVELOPMENT IN DECISION-MAKING 20 CHAPTER 9: PROTECTION OF THE ATMOSPHERE. 22 CHAPTER 10: INTEGRATED APPROACH TO THE PLANNING AND MANAGEMENT OF LAND RESOURCES 24 CHAPTER 11: COMBATING DEFORESTATION 26 CHAPTER 12: MANAGING FRAGILE ECOSYSTEMS: COMBATING DESERTIFICATION AND DROUGHT..28 CHAPTER 13: MANAGING FRAGILE ECOSYSTEMS: SUSTAINABLE MOUNTAIN DEVELOPMENT 29 CHAPTER 14: PROMOTING SUSTAINABLE AGRICULTURE AND RURAL DEVELOPMENT..30 CHAPTER 15: CONSERVATION OF BIOLOGICAL DIVERSITY.32 CHAPTER 16 AND 34: ENVIRONMENTALLY SOUND MANAGEMENT OF BIOTHECHNOLOGY AND TRANSFER OF ENVIRONMENTALLY SOUND TECHNOLOGY, COOPERATION AND CAPACITY- BUILDING 33 CHAPTER 17: PROTECTION OF THE OCEANS, ALL KINDS OF SEAS, INCLUDING ENCLOSED AND SEMI- ENCLOSED SEAS, AND COASTAL AREAS AND THE PROTECTION, RATIONAL USE AND DEVELOPMENT OF THEIR LIVING RESOURCES...35 CHAPTER 18: PROTECTION OF THE QUALITY AND SUPPLY OF FRESWATER RESOURCES: APPLICATION OF INTEGRATED APPROACHES TO THE DEVELOPMENT, MANAGEMENT AND USE OF WATER RESOURCES...36 CHAPTER 19: ENVIRONMENTALLY SOUND MANAGEMENT OF TOXIC CHEMICALS, INCLUDING PREVENTION OF ILLEGAL INTERNATIONAL TRAFFIC IN TOXIC AND DANGEROUS PRODUCTS 38 CHAPTER 20 TO 22: ENVIRONMENTALLY SOUND MANAGEMENT OF HAZARDOUS, SOLID AND RADIOACTIVE WASTES 40 i

CP2002 SLOVAKIA CHAPTER 24 TO 32: STRENGTHENING THE ROLE OF MAJOR GROUPS 42 CHAPTER 33: FINANCIAL RESOURCES AND MECHANISMS 44 CHAPTER 35: SCIENCE FOR SUSTAINABLE DEVELOPMENT..46 CHAPTER 36: PROMOTING EDUCATION, PUBLIC AWARENESS AND TRAINING..47 CHAPTER 37: NATIONAL MECHANISMS AND INTERNATIONAL COOPERATION FOR CAPACITY- BUILDING IN DEVELOPING COUNTRIES 48 CHAPTER 38: INTERNATIONAL INSTITUTIONAL ARRANGEMENTS 49 CHAPTER 39: INTERNATIONAL LEGAL INSTRUMENTS AND MECHANISMS.50 CHAPTER 40: INFORMATION FOR DECISION-MAKING 51 CHAPTER: INDUSTRY... 52 CHAPTER: SUSTA INABLE TOURISM....53 ii

CP2002 SLOVAKIA LIST OF COMMONLY USED ACRONYMS ACS AMCEN AMU APEC ASEAN CARICOM CBD CIS CGIAR CILSS CITES COMESA CSD DESA ECA ECCAS ECE ECLAC ECOWAS EEZ EIA ESCAP ESCWA EU FAO FIDA GATT GAW GEF GEMS GESAMP GHG GIS GLOBE GOS GRID HIV/AIDS IAEA ICSC ICSU ICT ICTSD Association of Caribbean States Africa Ministerial Conference on the Environment Arab Maghreb Union Asia-Pacific Economic Cooperation Association of Southeast Asian Nations The Caribbean Community and Common Market Convention on Biological Diversity Commonwealth of Independent States Consultative Group on International Agricultural Research Permanent Inter-State Committee for Drought Control in the Sahel Convention on International Trade in Endangered Species of Wild Fauna and Flora Common Market for Eastern and Southern Africa Commission on Sustainable Development of the United Nations Department for Economic and Social Affairs Economic Commission for Africa Economic Community for Central African States Economic Commission for Europe Economic Commission for Latin America and the Caribbean Economic Community of West African States Exclusive Economic Zone Environmental Impact Assessment Economic and Social Commission for Asia and the Pacific Economic and Social Commission for Western Asia European Union Food and Agriculture Organization of the United Nations Foundation for International Development Assistance General Agreement on Tariffs and Trade Global Atmosphere Watch (WMO) Global Environment Facility Global Environmental Monitoring System (UNEP) Joint Group of Experts on the Scientific Aspects of Marine Environmental Protection Greenhouse Gas Geographical Information Systems Global Legislators Organisation for a Balanced Environment Global Observing System (WMO/WWW) Global Resource Information Database Human Immunodeficiency Virus/Acquired Immunodeficiency Syndrome International Atomic Energy Agency International Civil Service Commission International Council of Scientific Unions Information and Communication Technology International Centre for Trade and Sustainable Development iii

CP2002 SLOVAKIA IEEA Integrated Environmental and Economic Accounting IFAD International Fund for Agricultural Development IFCS Intergovernmental Forum on Chemical Safety IGADD Intergovernmental Authority on Drought and Development ILO International Labour Organisation IMF International Monetary Fund IMO International Maritime Organization IOC Intergovernmental Oceanographic Commission IPCC Intergovernmental Panel on Climate Change IPCS International Programme on Chemical Safety IPM Integrated Pest Management IRPTC International Register of Potentially Toxic Chemicals ISDR International Strategy for Disaster Reduction ISO International Organization for Standardization ITTO International Tropical Timber Organization IUCN International Union for Conservation of Nature and Natural Resources LA21 Local Agenda 21 LDCs Least Developed Countries MARPOL International Convention for the Prevention of Pollution from Ships MEAs Multilateral Environmental Agreements NEAP National Environmental Action Plan NEPAD New Partnership for Africa s Development NGOs Non-Governmental Organizations NSDS National Sustainable Development Strategies OAS Organization of American States OAU Organization for African Unity ODA Official Development Assistance/Overseas Development Assistance OECD Organisation for Economic Co-operation and Development PPP Public-Private Partnership PRSP Poverty Reduction Strategy Papers SACEP South Asian Cooperative Environment Programme SADC Southern African Development Community SARD Sustainable Agriculture and Rural Development SIDS Small Island Developing States SPREP South Pacific Regional Environment Programme UN United Nations UNAIDS United Nations Programme on HIV/AIDS UNCED United Nations Conference on Environment and Development UNCCD United Nations Convention to Combat Desertification UNCHS United Nations Centre for Human Settlements (Habitat) UNCLOS United Nations Convention on the Law of the Sea UNCTAD United Nations Conference on Trade and Development UNDP United Nations Development Programme UNDRO Office of the United Nations Disaster Relief Coordinator UNEP United Nations Environment Programme iv

CP2002 SLOVAKIA UNESCO UNFCCC UNFF UNFPA UNHCR UNICEF UNIDO UNIFEM UNU WFC WHO WMO WSSD WTO WWF WWW United Nations Educational, Scientific and Cultural Organization United Nations Framework Convention on Climate Change United Nations Forum on Forests United Nations Population Fund United Nations High Commissioner for Refugees United Nations Children's Fund United Nations Industrial Development Organization United Nations Development Fund for Women United Nations University World Food Council World Health Organization World Meteorological Organization World Summit on Sustainable Development World Trade Organization World Wildlife Fund World Weather Watch (WMO) v

CP2002 SLOVAKIA LIST OF COUNTRY-USED ACRONYMS ASPEK ADR CPZ EK HDP KEAP KÚ MAAE MDPT SR MF SR MH SR MK SR MO SR MP SR MPSVR SR MS SR MŠ SR MVO MV SR MVRR SR MZ SR MZV SR MŽP SR NEAP NPPZ NR SR NSTUR NÚP OEAP OÚ OSN RaO RŠS SAV SAŽP SCÈP SEI SIŽP SŠEP SŠHP SŠSP SZO ŠÚ SR TU TUR ÚBP SR Association of Industrial Ecology in Slovakia International Agreement on Road Transport Centre for Pollution Prevention European Commission Gross domestic product Regional Environmental Action Programme Regional Office International Agency for Atomic Energy Ministry of Transport, Post and Telecommunication of the Slovak Republic Ministry of Finance of the Slovak Republic Ministry of Economy of the Slovak Republic Ministry of Culture of the Slovak Republic Ministry of Defense of the Slovak Republic Ministry of Soil Management of the Slovak Republic Ministry of Labour, Social Affairs and Family of the Slovak Republic Ministry of Justice of the Slovak Republic Ministry of Education of the Slovak Republic non-governmental organisations Ministry of Interior of the Slovak Republic Ministry of Construction and Regional Development of the Slovak Republic Ministry of Health of the Slovak Republic Ministry of Foreign Affairs of the Slovak Republic Ministry of the Environment of the Slovak Republic National Environmental Action Programme National Programme for Health Support National Council of the Slovak Republic National Strategy for Sustainable Development National Labour Office District Environmental Action Programme District Office United Nations Radioactive Waste Regional Training Centre Slovak Academy of Science Slovak Agency of the Environment Slovak Centre of Cleaner Production Central European Initiative Slovak Environmental Inspection Strategy of State Environmental Policy Strategy of State Economic Policy Strategy of State Social Policy Strategy of Health for All Office for Statistics of the Slovak Republic Technical University Sustainable Development Office for Labour Safety of the Slovak Republic vi

CP2002 SLOVAKIA ÚJD SR UK USRSVT SR Office for Nuclear Control of the Slovak Republic Comenius University Office for Strategy of Development of Society, Science and Technology of the Slovak Republic vii

CP2002 SLOVAK REPUBLIC: Page 1 of 53 CHAPTER 2: INTERNATIONAL COOPERATION TO ACCELERATE SUSTAINABLE DEVELOPMENT IN DEVELOPING COUNTRIES AND RELATED DOMESTIC POLICIES Decision-Making: Ministries of the Environment, Foreign Affairs, and Economy are responsible in the area of international cooperation. Co-ordination is ensured mainly by Ministry of the Environment and the Council of the Government of Sustainable Development that involves all the relevant ministries and governmental bodies. New legislation has been passed, as for example the act No. 76/1998 on protection of the ozone layer of the Earth, which confines the trade with ozone depleting layer of the Earth. Environmental standards are being harmonised in or der to achieve compatibility with legislation of the European Union. Ministry of the Environment of the Slovak Republic has submitted for discussion within the Government the material "Information on methodological guidelines for dealing with old ecological burdens", which supposed elaboration of draft act on contaminated territories till 2002. This act should bring a comprehensive solution of the issue of old ecological burdens. Until elaboration of the act on contaminated territories, individual evaluation of old ecological burdens with determination of responsibility and process of financing the remedial measures will be ensured in individual cases of enter of foreign capital. The social policy of the European Union covers a number of issues: living and working conditions of employees, their health and safety, equal opportunities for men and women, dialogue between social partners, human resources, employment, social protection and social exclusion. Social policy was developed via various tools, including legal instruments and the European Social Fund as well as activities oriented to specific issues, e.g. health of inhabitants, poverty and role of the handicapped. Role of social partners and social dialogue in the Slovak Republic. The social partnership has been institutionalized on macro (tripartite, Council of Economic and Social Agreement of the Slovak Republic), medium (sectoral and regional sphere), and micro-levels (enterprises) of the social system. Political changes in 1989, preparation and launching of the fundamental economic and social changes in 1989 constituted a considerable pressure on economy and inhabitants that caused a danger of social tension. Social and economic changes after 1989 led to transformation of economy, proprietary relations and production conditions. The roles of the Government as an organizer and managing component of production process were to large extent transferred on enterprises that have become sovereign economic units. Besides managing the production process the enterprises have become responsible for setting conditions for employees in accordance with production relations. Programmes and Projects: In the period of 1997-1998 the UNDP Programme Capacity 21 for the Slovak Republic was carried out that was oriented on establishment of a participatory network for environmental assessment and sustainable development in the Slovak Republic. The principal objective of this network was to establish a basis of a network of experts dealing with environment and sustainable development working in various areas of social and economic life of the society. In 1999 the second UNDP-funded programme started which is oriented first of all on preparation of the National Strategy for Sustainable Development. Ministry of the Environment received a special grant from Global Environmental Facility (GEF) for preparation of biodiversity strategy, action plan and the first national report on implementation of the Convention. The National Strategy of Protection of Biodiversity in Slovakia and the Action Plan for Realization of the National Strategy of Protection of Biodiversity in the Slovak Republic were elaborated in 1997. Conditions of habitat are respected in forest management. In order to more fully implement ecological aspects in forest management models of forest management according to forest areas of Slovakia have been elaborated in the light of the system of legislative regulations currently in force, which will be introduced into practice of forest management arrangements. Through the programmes PHARE CBC and Interreg II the issue of sustainable development is being dealt with in a form of transboundary cooperation with Hungary and Austria. In this way institutional cooperation of local and regional bodies is being created and preparedness of human resources in solution of issues of sustainable development is being increased. In the framework of regional development in collaboration with the Ministry of Construction and Regional Development the Phare 2000 programme has been oriented human resources development (education, requalification).

CP2002 SLOVAK REPUBLIC: Page 2 of 53 Status: Growth of production in several areas initiated by increased export of the Slovak Republic has not caused recently any changes of the environment, which would present problems. In the sector of machinery after 1989 a significant decrease of production and export can be observed which caused also decrease of impacts on the environment. Investment into new productions and technologies were practically none. During last two years more significant revival of production can be observed in car production, mainly due to company Volkswagen Bratislava. New investments comply with environmental requirements. At present support of the Government for entrance of foreign (strategic) investors into the sector of machinery is becoming still more and more important. Minimisation or elimination of adverse impacts of previous industrial activities is connected to that, and that means need of financing the recovery of territories adversely affected by industries. In the sector of chemical industry investments in 1980s and 1990s were aimed at protection of the environment and at adjustment of production processes, which were also leading to more effective use of resources and energy. The total decline of industrial pr oduction after 1990 led to decrease of productions with high level of pollution. In the textile industry, lather and boot production no modernisation of production-technological basis has been realised recently. Development in the sectors of glassmaking, polygraphic and cloth production in the Slovak Republic is stabilised. Impacts of this development on the environment are not adverse, which is determined by decline and abandonment of the most adverse productions (textile factories and tanneries). As far as wood-processing industry is concerned there has been no increase of environmental problems caused by export or production. The sector of pulp and paper production together with growth of production and investments and, in particular in accordance with financial possibilities pays appropriate attention to problems of the environment a there is no extreme burden on the environment. Capacity-Building, Education, Training and Awareness-Raising: The International Conference Towards Sustainable Development Challenge of the New Millennium was held in Bratislava on 27-29 November 2000 in the framework of the UNDP-supported project Capacity Building for Sustainable Development in the Slovak Republic. The Conference was co-organized by the Regional Environmental Centre Slovakia, the Ministry of the Environment of the Slovak Republic and the United Nations Development Programme. Information: No information available. Research and Technologies: Ministry of Economy has worked out a draft Conceptional Orientation of Technological Policy of Industrial Sectors of the Slovak Republic till 2003. In accordance with an action programme for strengthening the competitive power of the industry the content of the Conceptional Orientation of Technological Policy of Industrial Sectors of the Slovak Republic till 2003 was oriented to the following programme orientations of research and development. The Conceptional Orientation of Technological Policy of Industrial Sectors is oriented so that the results contribute to positive growth of competitiveness of the country and sustainable development of the society. Financing: A comprehensive institutional system of financial support of small and medium enterprises has been established in the Slovak Republic that is comparable to systems in countries with developed market economy, with exclusion of amount of available funds that is in the Slovak Republic considerably lower. Cooperation: Basel convention on the control of transboundary movements of hazardous waste and their disposal signature 1989/ratification 1989 Convention on Environmental Impact Assessment in a Transboundary Context (E/EC/1250)-Espoo Convention 1993/1999 Convention on Biological Diversity 1993/1994 Convention on long-range transboundary air pollution (CLRTAP) with protocols ratification by succession after 1993 Convention on Wetlands of International Importance especially as Waterfowl Habitat 1990/1990 Convention on Protection and Use of Transboundary Watercourses and International Lakes accession 1999 convention on cooperation for the protection and sustainable use of the Danube river (Danube River Protection Convention) accession 1998

CP2002 SLOVAK REPUBLIC: Page 3 of 53 Convention on the Conservation of European Wildlife and Natural Habitants (Bern Convention) 1994/1997 Convention on the Conservation of Migratory Species of Wild Animals (CMS) accession 1995 Agreement on the Conservation of Bats in Europe (EUROBAT) accession 1998 Convention Concerning the Protection of the World Cultural and Natural Heritage (WHC) 1975/1991 The United Nations Framework Convention on Climate Changes (UNFCCC) 1993/1994 Vienna Convention for the Protection of the Ozone Layer (Vienna Convention) - 1988 The Slovak Government believes that the integration of the country into European political and economic structures is a prerequisite for ensuring the democratic development of society and the country's economic prosperity. The signing of the Europe Agreement concluded between the European Communities and their member countries on the one hand, and the Slovak Republic on the other, played a significant role in promoting this goal. This Agreement became effective in February 1995, and it assumes the establishment of a free-trade zone between the Slovak Republic and European Union (EU) countries.

CP2002 SLOVAK REPUBLIC: Page 4 of 53 CHAPTER 2: INTERNATIONAL COOPERATION TO ACCELERATE SUSTAINABLE DEVELOPMENT IN DEVELOPING COUNTRIES AND RELATED DOMESTIC POLICIES - TRADE Decision-Making: The NR SR and the Slovak Government are the resulting decisive bodies. MH SR is the responsible body for the area. MP SR and MZV SR are cooperating bodies. In the area of foreign trade policy there are resolutions of the Government of the Slovak Republic 499/1999 on comprehensive programme of support for export and 356/2000 to the report on foreign trade of the Slovak Republic. In the framework of Agreement on General System of Preferences the Slovak Republic applies preferential system of tariffs on imports from 102 developing countries and the 48 least developed countries. Preferential rate measures are related to goods coming and imported directly from developing countries up to 2,000,000 USD or equivalent in another currency in the structure of applied preferential tariff. After exceeding this limit a contracted tariff rate will be applied. The goods imported and coming directly from the least developed countries is free of tariff. Provision of General System of Preferences is regulated by a regulation of the Government of the Slovak Republic 360/1996. The social policy of the European Union covers a number of issues: living and working conditions of employees, their health and safety, equal opportunities for men and women, dialogue between social partners, human resources, employment, social protection and social exclusion. Social policy was developed via various tools, including legal instruments and the European Social Fund as well as activities oriented to specific issues, e.g. health of inhabitants, poverty and role of the handicapped. The social partnership has been institutionalised. Political changes in 1989, preparation and launching of the fundamental economic and social changes in 1989 constituted a considerable pressure on economy and inhabitants that caused a danger of social tension. Social and economic changes after 1989 led to transformation of economy, proprietary relations and production conditions. The roles of the Government as an organizer and managing component of production process were to large extent transferred on enterprises that have become sovereign economic units. Besides managing the production process the enterprises have become responsible for setting conditions for employees in accordance with production relations. Programmes and Projects: In the framework of regional programmes and projects (Capacity 21, Democracy 6) this agreement contributes to sustainable development in developing countries. The Slovak Republic actively participates in activities of the World Trade Organization (WTO) that supports liberalization of trade relations among their members. Within the comprehensive programme of support for export the efforts of the Slovak Republic are concentrated on complying with commitments in relation to WTO, commitments resulted from the Agreement on Customs Union between the Slovak Republic and the Czech Republic, multilateral agreements on free trade to support liberalization processes in international business. Resolution of the Government of the Slovak Republic 356/2000 has approved contribution programmes for export and investment support oriented to assisting the small and medium enterprises from the point of view of competitiveness on the developed world markets. One of the contribution programmes of investment and export support approved by the Government of the Slovak Republic is the Programme of support of industrial zone development, which should increase the volume of foreign direct investments as one of the conditions for stabilization of economy and sustainable economic growth. Status: The Slovak Republic as a member of UNCTAD in the framework of international cooperation supports economic development in developing countries and actively takes part in activities of other international organisations in liberalisation of trade and support of export of developing countries. In the framework of agreement on general system of preferences (GSP) the Slovak Republic applies preferential tariff system for imports from 102 developing countries and from the 48 least developed countries. Preferential rates are applied to the goods from the developing countries up to the limit of 2,000,000 USD or equivalent in another currency in structure of applied preferential tariff system. After exceeding the mentioned limit the contract tariff rate is applied. Imports from the least developed countries are duty free. Provision of GSP is regulated by the Regulation of the Government of the Slovak Republic No. 360/1996. In the framework of regional programmes and projects (Capacity 21, Democracy 6) this agreement contributes to sustainable development in developing countries.

CP2002 SLOVAK REPUBLIC: Page 5 of 53 Capacity-Building, Education, Training and Awareness-Raising: Ministry of Economy of the Slovak Republic - foreign trade, creation and implementation of economic indicators of sustainable development. The International Conference Towards Sustainable Development Challenge of the New Millennium was held in Bratislava on 27-29 November 2000 in the framework of the UNDP-supported project Capacity Building for Sustainable Development in the Slovak Republic. The Conference was co-organized by the Regional Environmental Centre Slovakia, the Ministry of the Environment of the Slovak Republic and the United Nations Development Programme. Information: Information related to trade, investment and economic growth is made available to potential users in aggregated form for individual sectors of national economy through bulletins of the Office for Statistics of the Slovak Republic. Index of industrial production is calculated in accordance with international standards since January 1999. As far as our knowledge is concerned, this information is not made available on the Internet. Research and Technologies: Ministry of Economy has worked out a draft Concept ional Orientation of Technological Policy of Industrial Sectors of the Slovak Republic till 2003. In accordance with an action programme for strengthening the competitive power of the industry the content of the Conceptional Orientation of Technological Policy of Industrial Sectors of the Slovak Republic till 2003 was oriented to several programme orientations of research and development. The Conceptional Orientation of Technological Policy of Industrial Sectors is oriented so that the results contribute to positive growth of competitiveness of the country and sustainable development of the society. Financing: State budget of the Slovak Republic and structural funds- A comprehensive institutional system of financial support of small and medium enterprises has been established in the Slovak Republic that is comparable to systems in countries with developed market economy, with exclusion of amount of available funds that is in the Slovak Republic considerably lower. Cooperation: WTO, UNCTAD, ICCO, UNDP, UN, EU, OECD, CEFTA, FAO- The Slovak Republic as a UNCTAD member in the framework of international co-operation supports economic growth in developing countries with the aim of sustainable development and actively participates in activities of other international organizations in the issues of trade liberalization, fair economic competition and trade and investment support. The Slovak Republic has been an importing member of the International Organisation for Cocoa (ICCO) since 1993. The Slovak Republic actively takes part in activities of the World Trade Organisation (WTO) which supports liberalisation of trade relations between members. In September 1997 the Government of the Slovak Republic approved the accession to the Ministerial Declaration on Trade with Products of Information Technologies (ITA), which facilitates the access to products of information technologies through gradual reduction of duty tariffs, and to the Fourth Protocol to General Agreement on Trade with Services, which liberalises services in sector of basic telecommunication. In 1998 it actively participated in negotiations on further liberalisation of trade with products of information technologies (ITA II). In December 1998 the Slovak Republic accessed to the Fifth Protocol to GATS which means further liberalisation in sector of financial services. The Slovak Republic is also an active member (observer) of regional groups, activities and agreements - CEFTA, CEI, BSEC, CMHS. In connection of the third ministerial conference in Seattle in 1999 a subject of monitoring and evaluation within WTO in Geneva will be further discussion about liberalisation of trade with industrial and agricultural products and services, as well as efforts to include other areas into the agenda of WTO (environment, labour standards, governmental procurement, foreign investments, and others). The Slovak Republic will actively participate in sessions of the General Council, Council for Trade with Goods and Services, negotiation of individual WTO committees, in particular committees dealing with foreign trade policy of the Slovak Republic (Committee for regional trade agreements, Committee for agriculture, Committee for sanitary and phytosanitary measures, Committee for trade with products of information technologies, etc.). The Slovak Republic will actively participate in bilateral negotiations with individual countries in process of accession to WTO, which have considerable proportion in foreign trade of Slovakia (Russia, Ukraine, Belarus, Croatia, etc.) and Slovakia will also prepare for the process of negotiating the trade regime of the Slovak Republic in the WTO body for surveys of trade policies of the individual member states. The Slovak Republic has up till now made 13 preferential agreements in accordance with GATT provisions, which are a great contribution for liberalisation and gradual integration

CP2002 SLOVAK REPUBLIC: Page 6 of 53 CHAPTER 3: COMBATING POVERTY Decision-Making: The National Council of the Slovak Republic (NR SR), the Slovak Government and the ministries are the resulting decisive bodies. Ministry of Labour, Social Affairs and Family of the Slovak Republic (MPSVR SR) is a responsible body for this area. Ministry of Finance (MF SR), MVVP SR, Ministry of Interior (MV SR), Ministry of Economy (MH SR), National Labour Office (NÚP), and Office for Statistics (ŠÚ SR) are cooperating bodies. The NR SR, the Slovak Government, sectors, municipalities, Research Institute of Labour, Social Affairs and Family, International Centre for Research of Family, Sociological Institute, Prognostic Institute, foundations and civic associations, charity organizations. Living minimum as accepted minimal level of income of physical person, under which a state of social need is occurring, is determined by the act 125/1998 on living minimum and on determination of sums of state social aid. The legal living minimum of a physical person (persons) is a sum of money (total sum of money) necessary for provision of goods and services which are required by a separately run household of a certain size and composition to satisfy their basic living conditions. The living minimum is legislatively determined minimal level of income which is guaranteed by the state if the income of a citizen is lower than the living minimum. Each citizen of the Slovak Republic, whose income is lower than the living minimum, has a legal right to social payment ensuring the minimal living standard. To alleviate social consequences of growth of regulated prices of goods and services connected to housing and gradual transfer to total de-regulation the act 300/1999 on contribution for housing was passed in October 1999. For purposes of determination of level of state social payments and limit of income for right to claim for these payments the sums for unprovided children have been modified separately according to age. Solving the tasks of lowering the unemployment according to the act No. 387/1996 on Employment, the right of citizens for proper employment is solved in forms which are in accordance with international standards (e.g. International Labour Office) and the higher level of attention is being devoted to groups of citizens most seriously attacked by the poverty (young people who do not continue in study, graduates from secondary schools and universities, people over 50 years of age, people unemployed longer than one year, handicapped people). One of the tools to combat poverty is minimal salary. Minimal salary that must be provided by an employer for an employee ensures a certain level of protection of an employee against poverty and fall of his salary under the level of his reproduction expenses. The act 346/1999 on minimal salary (valid since 1 January 2000) established a valorization mechanism, according to which the level of minimal salary will be modified depending on level of average salary and sum of living minimum for an individual (i.e. on growth of living expenses of low income households). Programmes and Projects: No information available. Status: The existence of poor population in the Slovak Republic was neither admitted for a long time, nor it was a subject of broad discussion. Changes of socio-economic situation of citizens due to price liberalization, inflation, growth of living costs and unemployment caused an increase of number of people who were not able to tackle the negative changes of their living conditions immediately without assistance. This required enhanced attention and care from side of the state devoted to these groups of citizens. The most attacked groups were households with four and more children, incomplete households with children and households with unemployed members of family. As far as perceiving the troubles is concerned, housing is the most problematic area for households. It is estimated that Slovakia has a deficit of 180,000 flat units and current support programmes are insufficient and if concrete effective measures are not adopted this deficit will be growing. It will be necessary to support special forms of housing dedicated to low income households and to groups with specific needs (e.g. people in social need and seriously handicapped people), taking into account their material and financial conditions. Capacity-Building, Education, Training and Awareness-Raising: MPSVR SR - state social support, social aid, employment; MVVP SR - social housing, asylum housing; MV SR - realization of local state administration in the area of social care; MH SR - support of creation of job opportunities; NÚP - active policy of employment; ŠÚ SR - statistical investigation and analysis. Information: No information available.

CP2002 SLOVAK REPUBLIC: Page 7 of 53 Research and Technologies: No information available. Financing: State budget; NÚP - Incomes are created mainly from contributions to unemployment insurance, expenditures are determined by the law for: support in unemployment, active policy of labour market, health insurance, sickness benefit and pension scheme of the registered unemployed who receive the support according to conditions set by the act on state budget of the Slovak Republic, report and activity of NÚP; Social Insurance Company - Fund of pension scheme, Fund of health insurance; State fund for support of housing; budgets of selfgoverning bodies, budgets of subjects of private law. Cooperation: Local offices, non-governmental organizations, church organizations, European Union, PHARE, World Bank.

CP2002 SLOVAK REPUBLIC: Page 8 of 53 CHAPTER 4: CHANGING CONSUMPTION PATTERNS Decision-Making: The NR SR is the resulting decisive body. MH SR is the body responsible for this area to the Government of the Slovak Republic. Bodies of state administration (MP SR, MVVP SR) are cooperating bodies. Major groups involved are the NR SR, the Government of the Slovak Republic, bodies of state administration, and production enterprises. Programmes and Projects: No information available. Status: Frameworks of new model of economic and social development of the Slovak Republic affecting the change of consumption models of the Slovak economy are comprehensively defined within the strategy of mid-term programme of transformation of the Slovak economy in the area of economic and social development. The fundamental priority in this field is to accelerate the process of restructuring of the Slovak industry and to implement the adopted measures aimed at increasing its competitiveness in accordance with limitations worked out adopted on international level. Particularly these processes are conditional for changing the models of consumption or for elimination of current consumption models in individual sectors of the Slovak industry. During its development up these days the Slovak industry has not been a subject of radical restructuring which is a prerequisite of any change of consumption model, in particular in the area of inputs of resources, materials and energy. Starting points and conceptional elaboration of procedures leading to this objective are formulated in several basic documents, which are perceived by the Government as economic tools promoting also the changes of consumption models and transfer of new technologies. Measures affecting the existing consumption models in various areas of the Slovak economy were during 1999 formulated in the following strategies and conceptions: Strategy of support of foreign investments in the Slovak Republic, Elaboration of principles of Industrial policy of the European Union in conditions of the Slovak Republic, Conceptional orientation of technical policy of industries of the Slovak Republic up to 2003, Proposal of support of innovative development and programme of quality in enterprises, Proposal of changes in the system of support of small and medium enterprising which would strengthen principles of transparency and effectiveness of support forms, Draft Energy policy, Conception of nuclear energy in the Slovak Republic, Wood - resource of the 21 st century, Comprehensive programme of support of export, Concretisation of strategy of the mid-term economic and social development of the Slovak Republic (mid-term priorities of the economic policy in the Slovak Republic) and the others. In spite of diversity of issues being solved, the common objective of these conceptions is mainly the implementation of broad and deep restructuring of the industry. From the point of view of expected changes of consumption models, the conditions are innovative, upgrading, renovating and mainly developmental investments, including foreign direct investments, accepting compliance with environmental conditions of sustainable development. The effort of the Government in this relation is to improve business conditions through creating appropriate legal, regulatory and fiscal frameworks for support of investments in the Slovak Republic. It is expected that these frameworks create positive response accompanied by increased investment activity. The following processes are expected in this relation: change of internal structure of industry; stabilisation and increase of performance of those industries which increase the total effectiveness of productive capital; more effective use, revaluation and decrease of inputs of resources, materials and energy; increase of competitiveness and export onto the world markets. Capacity-Building, Education, Training and Awareness-Raising: MH SR - national energetic conception, industrial policy, resource policy Regional and district offices - regional energetic conceptions

CP2002 SLOVAK REPUBLIC: Page 9 of 53 Information: No information available. Research and Technologies: No information available. Financing: State budget, State fund for liquidation of nuclear facilities with radioactive waste, internal sources, PHARE Cooperation: Research institutes, SAV, TU, UN, OECD, IAEA, Council of Europe, World Bank and others.

CP2002 SLOVAK REPUBLIC: Page 10 of 53 CHAPTER 4: CHANGING CONSUMPTION PATTERNS - ENERGY Decision-Making: The main body responsible for decision-making concerning energy issues in general is the Ministry of Economy of the Slovak Republic. As far as energy-related aspects of atmosphere and transportation are concerned, the specific competence is given to Ministry of the Environment and the Office of Nuclear Control of the Slovak Republic. The Ministry of Economy of the Slovak Republic controls the State Energy Inspection (SEI), which has been established under the Article 39 of the Act 70/1998. The SEI carries out supervision over compliance with this Act, with generally binding legal regulations issued in accordance with this Act and with measures applied in accordance with this Act. It is divided to a central inspectorate which controls regional inspectorates. The SEI is a budgetary organization seated in the city of Tren?ín and led by central director who is also responsible for its activity. The central director is appointed by the Minister of Economy. The Ministry of Economy has also established the Slovak Energy Agency to ensure realization of some activities determined by implementation of the Act on energy and its implementing regulations. The Ministry of Economy of the Slovak Republic is a central state administration mining authority. In accordance with the Act 51/1988 the bodies of state mining administration are: the Central Mining Office seated in Banská Štiavnica and the District Mining Offices seated in Bratis lava, Banská Bystrica, Košice, Prievidza and Spišská Nová Ves. The Central Mining Office is a budgetary organisation lead by a Chairman who is appointed by the Minister of Economy. The Central Mining Office controls the District Mining Offices. As far as energy acts are concerned, there are in particular the Act 70/1998 on energy and the Act 130/1998 on peaceful utilization of nuclear energy and subsequent implementing regulations of the Ministry of Economy as amended by the further regulations. The energy sector is incorporated in a broad legislation of air protection covered by Ministry of the Environment. The strategic objectives are determined by the Energy Policy of the Slovak Republic (January 2000). Representatives of non-governmental organizations, scientific groups and Association of employers are members of working groups which prepare important documents. Share of the private sector in production of electricity was 3.35 percent in 1999, which was 1,104 GWh. Distribution is provided by four companie s. In heat production the private sector occupies much larger area (81 percent including distribution, which makes 213 PJ. They very actively criticize the governmental decisions, of which they do not agree, and point out at saving measures. Programmes and Projects: The Programme of support of energy savings and utilization of alternative energy resources which is subsidized by the state budget up to the sum of 30 million SKK yearly. Energy labelling of domestic electric devices in accordance with EEC/880/92. Developing CO2 Cap and Trade Programme, which is carried out by the Ministry of the Environment together with the Centre for Clean Air Policy, USA. For 2000 the SEA was allocated the SAVE 2000 programme called Support of KGJ as a basis for Eastern-Western energy partnership. It deals with introduction and support of co-generation units. Implementation of the Decree of Ministry of the Environment of the Slovak Republic 144/2000 on requirements for fuel quality, keeping operational records on the kind, extent and way of providing data to air protection authority. The Programme of support of savings of energy and utilization of alternative energy resources, which is subsidized by the state budget up to the sum of 30 million SKK yearly. As early as 1992 Slovenské elektrárne (the Slovak Power Plants Company) established a division of energy efficiency and elaborated a DSM programme (promotion of energy efficiency and management on the side of consumption) in collaboration with the company Power Smart Inc. from Canada. The objectives of the programme are a) reduction of consumption in peak hours, b) transfer of burden and c) improvement of efficiency of utilization of electric energy in households and industry. In the framework of this programme pilot projects are being run that are oriented to installation of heat pumps for heating the premises and water in the sector of housing and efficient lighting of houses and streets. In the year 2000 the SEA was allocated the SAVE 2000 programme called Support of KGJ as a basis for Eastern-Western energy partnership PROCHP. It deals with introduction and support of co-generation units. The further SAVE 2000 programme for Slovakia is the programme called Extension of EXCOs TPF involvement in Public Sector CHP and in DH schemes in the Czech and Slovak Republics. It deals with support of funding projects of co-generation units by a third party (TPF: third party financing). In 1999 Slovakia was involved in programmes: Analysis of obstacles in implementation of combined production of heat and electricity in the Czech Republic and the Slovak Republic, the National

CP2002 SLOVAK REPUBLIC: Page 11 of 53 programme of monitoring and identification of objectives in the Czech Republic and the Slovak Republic, the Manual for self-governments in the Czech Republic and the Slovak Republic. Status: Slovakia suffers from lack of its own primary energy resources (these resources constitute only 11 percent of total consumption). The rest is covered by import, in particular from the Russian Federation. Import of coal is diversified. Slovakia is electrified to 100 percent. Capacity-Building, Education, Training and Awareness-Raising: Implemented through Exhibitions RACIO ENERGIA, ELOSYS, AQUATERM, ENEF and further, various conferences, workshops, seminars, competitions in mass media, advisory centres. There are courses, in particular physics, biology and ecology, which include issues of environmental protection. Energy auditors and so called competent representatives who run businesses in energy sectors are trained via the Slovak Energy Agency (established by the Ministry of Economy). They acquire a certificate of professional ability. Advisory and trade centres of energy enterprises, exhibitions EKOTOPFILM, ENVIROFILM, etc. Information: Information is gathered and processed by the Statistic Office of the Slovak Republic. Business companies, which belong under the responsibility of the Ministry of Economy, submit data also to the Ministry of Economy. The area of heating management is monitored by the Slovak Energy Agency. Official statistics is available. Other data and information are presented at conferences, seminars and workshops. Research and Technologies: Number of small hydro-power plant has been increased and this trend still continues. Construction of one hydro-power plant with 64 MW output is finishing. Share in energy production and number of introduced units have been increased. Gasification of biomass is developing in the area of wastewater treatment plants. Number of campaigns and undertakings oriented to energy utilization of mainly biomass is extending. Solar energy is utilized in particular for heat production. Wind power plants are used only experimentally. Two blocks in the nuclear power plant Mochovce have been completed and put into operation, which contributes to fulfilment of Kyoto commitments. In the framework of research and development in industrial sectors and energy the following scientific and technical projects were realized in 1999: Development of mass remote control of important technical components for DSM SR, which was solved by VUPEX Bratislava in the period 1996-1999; Improvement of complex system for support of RODOS decision-making developed within the European Union and its adaptation for the Eastern Europe. It was solved by VUJE Institute Trnava in the period 1996-1999 (project solved in the framework of international scientific and technical co-operation EU COPERNICUS); and Development of facility for production of absorption containers for burnt fuel cells from nuclear installations, which was solved by ZTS VVU Košice in the period 1998-1999. In the area of hydro-energy it depends on achievement of consensus with ecologists in building further small hydropower plants. Environmental evaluation of hydro-energy potential of the Slovak Republic is under preparation, which will determine a list and proper localization of small hydropower plants. In Slovakia there is an important producer of solar collectors that are, however, exported. Experiments are being carried out. Concerning major heating plants, fluid combustion of coal has been introduced at ENO Nováky and further facility of this kind of combustion is under preparation. Financing: The state budget contributes to the Programme of support of savings and utilization of alternative energy resources with a sum of 30 million SKK yearly (for private sector). There is a contribution also to the Programme SAVE II 3.6 million SKK (private sector). Cooperation: Investments of foreign investors in the Slovak Republic are protected. The Slovak Republic has ratified the Convention on Energy Charter), besides that the Government has adopted several measures providing potential investors with advantageous conditions. The Slovak Republic is connected to the international energy network UCPITE and CENTREL. Programmes INTERREG, Phare, SAVE II, SYNERGY. The third National Report on Climate Change is under preparation. Emission trading is also under preparation and Joint Implementation projects are being realized (with Denmark and the Netherlands). The Protocol on Energy Charter and relating environmental aspects.